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Do bank characteristics influence the effect of monetary policy on bank risk?

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  • Altunbas, Yener
  • Gambacorta, Leonardo
  • Marques-Ibanez, David

Abstract

We analyze whether bank characteristics affect the impact of monetary policy on bank risk. We find that the insulation effects produced by capital and liquidity were lower for banks operating in countries with particularly low interest rates.

Suggested Citation

  • Altunbas, Yener & Gambacorta, Leonardo & Marques-Ibanez, David, 2012. "Do bank characteristics influence the effect of monetary policy on bank risk?," Economics Letters, Elsevier, vol. 117(1), pages 220-222.
    • Handle: RePEc:eee:ecolet:v:117:y:2012:i:1:p:220-222
    DOI: 10.1016/j.econlet.2012.04.106
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    More about this item

    Keywords

    Risk-taking channel; Monetary policy; Credit crisis; Bank characteristics;
    All these keywords.

    JEL classification:

    • E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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